Senate Bill 3101

(As Passed the Senate)

AN ACT TO AUTHORIZE THE ISSUANCE OF GENERAL OBLIGATION BONDS
OF THE STATE OF MISSISSIPPI IN THE AMOUNT OF $2,000,000.00 FOR THE PURPOSE OF
PROVIDING FUNDS FOR THE B.B. KING MUSEUM; TO AUTHORIZE THE ISSUANCE OF GENERAL
OBLIGATION BONDS OF THE STATE OF MISSISSIPPI IN THE AMOUNT OF $2,000,000.00 FOR
THE SOUTHERN ARTS AND ENTERTAINMENT CENTER; TO AUTHORIZE THE ISSUANCE OF
$16,000,000.00 IN STATE GENERAL OBLIGATION BONDS TO PROVIDE FUNDS FOR CAPITAL
IMPROVEMENTS AT AN ECONOMIC DEVELOPMENT AND TOURISM DESTINATION FACILITY IN
HANCOCK COUNTY, MISSISSIPPI, THAT FEATURES A SPACE, SCIENCE AND EDUCATION
CENTER; TO REQUIRE THE COMMITMENT OF A CERTAIN AMOUNT OF PRIVATE, LOCAL OR
FEDERAL FUNDS FOR SUCH PROJECTS AS A CONDITION PRECEDENT TO THE ISSUANCE OF
BONDS UNDER THIS ACT; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE
STATE OF MISSISSIPPI:

SECTION
1. As used in Sections 1 through 17
of this act, the following words shall have the meanings ascribed herein unless
the context clearly requires otherwise:

(a)
"Accreted value" of any bond means, as of any date of
computation, an amount equal to the sum of (i) the stated initial value of such
bond, plus (ii) the interest accrued thereon from the issue date to the date of
computation at the rate, compounded semiannually, that is necessary to produce
the approximate yield to maturity shown for bonds of the same maturity.

(b)
"Act" means Sections 1 through 17 of this act.

(c)
"State" means the State of Mississippi.

(d)
"Commission" means the State Bond Commission.

SECTION
2. (1) (a) A special fund, to be
designated as the "2005 B.B. King Museum Fund" is created within the
State Treasury. The fund shall be
maintained by the State Treasurer as a separate and special fund, separate and
apart from the General Fund of the state.
Unexpended amounts remaining in the fund at the end of a fiscal year
shall not lapse into the State General Fund, and any interest earned or
investment earnings on amounts in the fund shall be deposited into such fund.

(b)
Money deposited into the fund shall be disbursed, in the discretion of
the Department of Finance and Administration, to pay the costs of:

(i) Construction, furnishing, equipping and repairs and renovations
at the B.B. King Museum in Indianola, Mississippi; and

(ii) Production and development of exhibits and audiovisual for such
museum.

(2)
Amounts deposited into such special fund shall be disbursed to pay the
costs of the projects described in subsection (1) of this section. Promptly after the commission has certified,
by resolution duly adopted, that the projects described in subsection (1) shall
have been completed, abandoned, or cannot be completed in a timely fashion, any
amounts remaining in such special fund shall be applied to pay debt service on
the bonds issued under this act, in accordance with the proceedings authorizing
the issuance of such bonds and as directed by the commission.

(3)
The Department of Finance and Administration, acting through the Bureau
of Building, Grounds and Real Property Management, is expressly authorized and
empowered to receive and expend any local or other source funds in connection
with the expenditure of funds provided for in this section. The expenditure of monies deposited into the
special fund shall be under the direction of the Department of Finance and
Administration, and such funds shall be paid by the State Treasurer upon warrants issued by such department, which warrants
shall be issued upon requisitions signed by the Executive Director of the Department
of Finance and Administration, or his designee.

SECTION 3. (1) The commission, at
one time, or from time to time, may declare by resolution the necessity for
issuance of general obligation bonds of the State of Mississippi to provide
funds for all costs incurred or to be incurred for the purposes described in
Section 2 of this act. No bonds shall
be issued under this act until the Department of Finance and Administration is
provided proof that the funds from private, local or federal sources have been
irrevocably dedicated and are readily available to the project in the amount of
not less than Six Million Dollars ($6,000,000.00). Upon the adoption of a resolution by the Department of Finance
and Administration, declaring that funds have been irrevocably dedicated and
are readily available in the required amount and declaring the necessity for
the issuance of any part or all of the general obligation bonds authorized by
this section, the department shall deliver a certified copy of its resolution
or resolutions to the commission. Upon
receipt of such resolution, the commission, in its discretion, may act as the
issuing agent, prescribe the form of the bonds, advertise for and accept bids,
issue and sell the bonds so authorized to be sold and do any and all other
things necessary and advisable in connection with the issuance and sale of such
bonds. The total amount of bonds issued
under this act shall not exceed Two Million Dollars ($2,000,000.00). No bonds shall be issued under this act from
and after July 1, 2008.

(2) Any investment earnings on amounts deposited
into the special fund created in Section 2 of this act shall be used to pay
debt service on bonds issued under this act, in accordance with the proceedings
authorizing issuance of such bonds.

SECTION
4. The principal of and interest on
the bonds authorized under this act shall be payable in the manner provided in
this section. Such bonds shall bear
such date or dates, be in such denomination or denominations, bear interest at
such rate or rates (not to exceed the limits set forth in Section 75-17-101,
Mississippi Code of 1972), be payable at such place or places within or without
the State of Mississippi, shall mature absolutely at such time or times not to
exceed twenty-five (25) years from date of issue, be redeemable before maturity
at such time or times and upon such terms, with or without premium, shall bear
such registration privileges, and shall be substantially in such form, all as
shall be determined by resolution of the commission.

SECTION
5. The bonds authorized by this act
shall be signed by the chairman of the commission, or by his facsimile
signature, and the official seal of the commission shall be affixed thereto,
attested by the secretary of the commission.
The interest coupons, if any, to be attached to such bonds may be
executed by the facsimile signatures of such officers. Whenever any such bonds shall have been
signed by the officials designated to sign the bonds who were in office at the
time of such signing but who may have ceased to be such officers before the
sale and delivery of such bonds, or who may not have been in office on the date
such bonds may bear, the signatures of such officers upon such bonds and
coupons shall nevertheless be valid and sufficient for all purposes and have
the same effect as if the person so officially signing such bonds had remained
in office until their delivery to the purchaser, or had been in office on the
date such bonds may bear. However,
notwithstanding anything herein to the contrary, such bonds may be issued as
provided in the Registered Bond Act of the State of Mississippi.

SECTION
6. All bonds and interest coupons
issued under the provisions of this act have all the qualities and incidents of
negotiable instruments under the provisions of the Uniform Commercial Code, and
in exercising the powers granted by this act, the commission shall not be
required to and need not comply with the provisions of the Uniform Commercial
Code.

SECTION
7. The commission shall act as the
issuing agent for the bonds authorized under this act, prescribe the form of
the bonds, advertise for and accept bids, issue and sell the bonds so
authorized to be sold, pay all fees and costs incurred in such issuance and
sale, and do any and all other things necessary and advisable in connection
with the issuance and sale of such bonds.
The commission is authorized and empowered to pay the costs that are
incident to the sale, issuance and delivery of the bonds authorized under this
act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on
sealed bids at public sale, and for such price as it may determine to be for
the best interest of the State of Mississippi, but no such sale shall be made
at a price less than par plus accrued interest to the date of delivery of the
bonds to the purchaser. All interest
accruing on such bonds so issued shall be payable semiannually or annually;
however, the first interest payment may be for any period of not more than one
(1) year.

Notice of the sale of any such bonds shall
be published at least one (1) time, not less than ten (10) days before the date
of sale, and shall be so published in one or more newspapers published or
having a general circulation in the City of Jackson, Mississippi, and in one or
more other newspapers or financial journals with a national circulation, to be
selected by the commission.

The commission, when issuing any bonds
under the authority of this act, may provide that bonds, at the option of the
State of Mississippi, may be called in for payment and redemption at the call
price named therein and accrued interest on such date or dates named therein.

SECTION
8. The bonds issued under the
provisions of this act are general obligations of the State of Mississippi, and
for the payment thereof the full faith and credit of the State of Mississippi
is irrevocably pledged. If the funds
appropriated by the Legislature are insufficient to pay the principal of and
the interest on such bonds as they become due, then the deficiency shall be
paid by the State Treasurer from any funds in the State Treasury not otherwise
appropriated. All such bonds shall
contain recitals on their faces substantially covering the provisions of this
section.

SECTION
9. Upon the issuance and sale of
bonds under the provisions of this act, the commission shall transfer the
proceeds of any such sale or sales to the special fund created in Section 2 of
this act. The proceeds of such bonds
shall be disbursed solely upon the order of the Department of Finance and
Administration under such restrictions, if any, as may be contained in the
resolution providing for the issuance of the bonds.

SECTION
10. The bonds authorized under this
act may be issued without any other proceedings or the happening of any other
conditions or things other than those proceedings, conditions and things which
are specified or required by this act.
Any resolution providing for the issuance of bonds under the provisions
of this act shall become effective immediately upon its adoption by the
commission, and any such resolution may be adopted at any regular or special
meeting of the commission by a majority of its members.

SECTION
11. The bonds authorized under the
authority of this act may be validated in the Chancery Court of the First
Judicial District of Hinds County, Mississippi, in the manner and with the
force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972,
for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such
statutes shall be published in a newspaper published or having a general
circulation in the City of Jackson, Mississippi.

SECTION
12. Any holder of bonds issued
under the provisions of this act or of any of the interest coupons pertaining
thereto may, either at law or in equity, by suit, action, mandamus or other
proceeding, protect and enforce any and all rights granted under this act, or
under such resolution, and may enforce and compel performance of all duties
required by this act to be performed, in order to provide for the payment of
bonds and interest thereon.

SECTION
13. All bonds issued under the
provisions of this act shall be legal investments for trustees and other
fiduciaries, and for savings banks, trust companies and insurance companies
organized under the laws of the State of Mississippi, and such bonds shall be
legal securities which may be deposited with and shall be received by all
public officers and bodies of this state and all municipalities and political
subdivisions for the purpose of securing the deposit of public funds.

SECTION
14. Bonds issued under the
provisions of this act and income therefrom shall be exempt from all taxation
in the State of Mississippi.

SECTION
15. The proceeds of the bonds
issued under this act shall be used solely for the purposes herein provided,
including the costs incident to the issuance and sale of such bonds.

SECTION
16. The State Treasurer is
authorized, without further process of law, to certify to the Department of
Finance and Administration the necessity for warrants, and the Department of
Finance and Administration is authorized and directed to issue such warrants,
in such amounts as may be necessary to pay when due the principal of, premium,
if any, and interest on, or the accreted value of, all bonds issued under this
act; and the State Treasurer shall forward the necessary amount to the
designated place or places of payment of such bonds in ample time to discharge
such bonds, or the interest thereon, on the due dates thereof.

SECTION
17. This act shall be deemed to be
full and complete authority for the exercise of the powers herein granted, but
this act shall not be deemed to repeal or to be in derogation of any existing
law of this state.

SECTION
18. As used in Sections 18 through
34 of this act, the following words shall have the meanings ascribed herein
unless the context clearly requires otherwise:

(a)
"Accreted value" of any bond means, as of any date of
computation, an amount equal to the sum of (i) the stated initial value of such
bond, plus (ii) the interest accrued thereon from the issue date to the date of
computation at the rate, compounded semiannually, that is necessary to produce
the approximate yield to maturity shown for bonds of the same maturity.

(b)
"Act" means Sections 18 through 34 of this act.

(b)
"State" means the State of Mississippi.

(c)
"Commission" means the State Bond Commission.

SECTION
19. (1) (a) A special fund, to be
designated as the "2005 Southern Arts and Entertainment Center Fund"
is created within the State Treasury.
The fund shall be maintained by the State Treasurer as a separate and
special fund, separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at
the end of a fiscal year shall not lapse into the State General Fund, and any
interest earned or investment earnings on amounts in the fund shall be
deposited into such fund.

(b)
Money deposited into the fund shall be disbursed, in the discretion of
the Department of Finance and Administration, to pay the costs of construction,
furnishing, equipping and repairs and renovations at the Southern Arts and
Entertainment Center created in Section 39-25-1.

(2)
Amounts deposited into such special fund shall be disbursed to pay the
costs of the projects described in subsection (1) of this section. Promptly after the commission has certified,
by resolution duly adopted, that the projects described in subsection (1) shall
have been completed, abandoned, or cannot be completed in a timely fashion, any
amounts remaining in such special fund shall be applied to pay debt service on
the bonds issued under this act, in accordance with the proceedings authorizing
the issuance of such bonds and as directed by the commission.

(3)
The Department of Finance and Administration, acting through the Bureau
of Building, Grounds and Real Property Management, is expressly authorized and
empowered to receive and expend any local or other source funds in connection
with the expenditure of funds provided for in this section. The expenditure of monies deposited into the
special fund shall be under the direction of the Department of Finance and
Administration, and such funds shall be paid by the State Treasurer upon warrants issued by such department, which warrants
shall be issued upon requisitions signed by the Executive Director of the
Department of Finance and Administration, or his designee.

SECTION 20. (1) The commission, at
one time, or from time to time, may declare by resolution the necessity for
issuance of general obligation bonds of the State of Mississippi to provide
funds for all costs incurred or to be incurred for the purposes described in
Section 19 of this act. No bonds shall
be issued under this act until the Department of Finance and Administration is
provided proof that the funds from private, local or federal sources have been
irrevocably dedicated and are readily available to the project in the amount of
not less than Two Million Dollars ($2,000,000.00). Upon the adoption of a resolution by the Department of Finance
and Administration, declaring that funds have been irrevocably dedicated and
are readily available in the required amount and declaring the necessity for
the issuance of any part or all of the general obligation bonds authorized by
this section, the department shall deliver a certified copy of its resolution
or resolutions to the commission. Upon
receipt of such resolution, the commission, in its discretion, may act as the
issuing agent, prescribe the form of the bonds, advertise for and accept bids,
issue and sell the bonds so authorized to be sold and do any and all other
things necessary and advisable in connection with the issuance and sale of such
bonds. The total amount of bonds issued
under this act shall not exceed Two Million Dollars ($2,000,000.00). No bonds shall be issued under this act from
and after July 1, 2008.

(2) Any investment earnings on amounts deposited
into the special fund created in Section 19 of this act shall be used to pay debt
service on bonds issued under this act, in accordance with the proceedings
authorizing issuance of such bonds.

SECTION
21. The principal of and interest
on the bonds authorized under this act shall be payable in the manner provided
in this section. Such bonds shall bear
such date or dates, be in such denomination or denominations, bear interest at
such rate or rates (not to exceed the limits set forth in Section 75-17-101,
Mississippi Code of 1972), be payable at such place or places within or without
the State of Mississippi, shall mature absolutely at such time or times not to
exceed twenty-five (25) years from date of issue, be redeemable before maturity
at such time or times and upon such terms, with or without premium, shall bear
such registration privileges, and shall be substantially in such form, all as
shall be determined by resolution of the commission.

SECTION
22. The bonds authorized by this
act shall be signed by the chairman of the commission, or by his facsimile
signature, and the official seal of the commission shall be affixed thereto,
attested by the secretary of the commission.
The interest coupons, if any, to be attached to such bonds may be
executed by the facsimile signatures of such officers. Whenever any such bonds shall have been
signed by the officials designated to sign the bonds who were in office at the
time of such signing but who may have ceased to be such officers before the
sale and delivery of such bonds, or who may not have been in office on the date
such bonds may bear, the signatures of such officers upon such bonds and
coupons shall nevertheless be valid and sufficient for all purposes and have
the same effect as if the person so officially signing such bonds had remained
in office until their delivery to the purchaser, or had been in office on the
date such bonds may bear. However,
notwithstanding anything herein to the contrary, such bonds may be issued as
provided in the Registered Bond Act of the State of Mississippi.

SECTION
23. All bonds and interest coupons
issued under the provisions of this act have all the qualities and incidents of
negotiable instruments under the provisions of the Uniform Commercial Code, and
in exercising the powers granted by this act, the commission shall not be
required to and need not comply with the provisions of the Uniform Commercial
Code.

SECTION
24. The commission shall act as the
issuing agent for the bonds authorized under this act, prescribe the form of
the bonds, advertise for and accept bids, issue and sell the bonds so
authorized to be sold, pay all fees and costs incurred in such issuance and
sale, and do any and all other things necessary and advisable in connection
with the issuance and sale of such bonds.
The commission is authorized and empowered to pay the costs that are
incident to the sale, issuance and delivery of the bonds authorized under this
act from the proceeds derived from the sale of such bonds. The commission shall sell such bonds on
sealed bids at public sale, and for such price as it may determine to be for
the best interest of the State of Mississippi, but no such sale shall be made
at a price less than par plus accrued interest to the date of delivery of the
bonds to the purchaser. All interest
accruing on such bonds so issued shall be payable semiannually or annually;
however, the first interest payment may be for any period of not more than one
(1) year.

Notice of the sale of any such bonds shall
be published at least one (1) time, not less than ten (10) days before the date
of sale, and shall be so published in one or more newspapers published or
having a general circulation in the City of Jackson, Mississippi, and in one or
more other newspapers or financial journals with a national circulation, to be
selected by the commission.

The commission, when issuing any bonds
under the authority of this act, may provide that bonds, at the option of the
State of Mississippi, may be called in for payment and redemption at the call
price named therein and accrued interest on such date or dates named therein.

SECTION
25. The bonds issued under the
provisions of this act are general obligations of the State of Mississippi, and
for the payment thereof the full faith and credit of the State of Mississippi
is irrevocably pledged. If the funds
appropriated by the Legislature are insufficient to pay the principal of and
the interest on such bonds as they become due, then the deficiency shall be
paid by the State Treasurer from any funds in the State Treasury not otherwise
appropriated. All such bonds shall contain
recitals on their faces substantially covering the provisions of this section.

SECTION
26. Upon the issuance and sale of
bonds under the provisions of this act, the commission shall transfer the
proceeds of any such sale or sales to the special fund created in Section 19 of
this act. The proceeds of such bonds
shall be disbursed solely upon the order of the Department of Finance and
Administration under such restrictions, if any, as may be contained in the resolution
providing for the issuance of the bonds.

SECTION
27. The bonds authorized under this
act may be issued without any other proceedings or the happening of any other
conditions or things other than those proceedings, conditions and things which
are specified or required by this act.
Any resolution providing for the issuance of bonds under the provisions
of this act shall become effective immediately upon its adoption by the
commission, and any such resolution may be adopted at any regular or special
meeting of the commission by a majority of its members.

SECTION
28. The bonds authorized under the
authority of this act may be validated in the Chancery Court of the First
Judicial District of Hinds County, Mississippi, in the manner and with the
force and effect provided by Chapter 13, Title 31, Mississippi Code of 1972,
for the validation of county, municipal, school district and other bonds. The notice to taxpayers required by such
statutes shall be published in a newspaper published or having a general
circulation in the City of Jackson, Mississippi.

SECTION
29. Any holder of bonds issued
under the provisions of this act or of any of the interest coupons pertaining
thereto may, either at law or in equity, by suit, action, mandamus or other
proceeding, protect and enforce any and all rights granted under this act, or
under such resolution, and may enforce and compel performance of all duties
required by this act to be performed, in order to provide for the payment of
bonds and interest thereon.

SECTION
30. All bonds issued under the provisions
of this act shall be legal investments for trustees and other fiduciaries, and
for savings banks, trust companies and insurance companies organized under the
laws of the State of Mississippi, and such bonds shall be legal securities
which may be deposited with and shall be received by all public officers and
bodies of this state and all municipalities and political subdivisions for the
purpose of securing the deposit of public funds.

SECTION
31. Bonds issued under the
provisions of this act and income therefrom shall be exempt from all taxation
in the State of Mississippi.

SECTION
32. The proceeds of the bonds
issued under this act shall be used solely for the purposes herein provided,
including the costs incident to the issuance and sale of such bonds.

SECTION
33. The State Treasurer is
authorized, without further process of law, to certify to the Department of
Finance and Administration the necessity for warrants, and the Department of
Finance and Administration is authorized and directed to issue such warrants,
in such amounts as may be necessary to pay when due the principal of, premium,
if any, and interest on, or the accreted value of, all bonds issued under this
act; and the State Treasurer shall forward the necessary amount to the designated
place or places of payment of such bonds in ample time to discharge such bonds,
or the interest thereon, on the due dates thereof.

SECTION
34. This act shall be deemed to be
full and complete authority for the exercise of the powers herein granted, but
this act shall not be deemed to repeal or to be in derogation of any existing
law of this state.

SECTION 35. As used in Sections 35 through 52 of this act, the following
words shall have the meanings ascribed herein unless the context clearly
requires otherwise:

(a)
"Accreted value" of any bond means, as of any date of
computation, an amount equal to the sum of (i) the stated initial value of such
bond, plus (ii) the interest accrued thereon from the issue date to the date of
computation at the rate, compounded semiannually, that is necessary to produce
the approximate yield to maturity shown for bonds of the same maturity.

(b)
"Act" means Sections 35 through 52.

(c)
"Commission" means the State Bond Commission.

(d)
"Project" means an economic development and tourism
destination facility in Hancock County, Mississippi, that will feature a space,
science and education center. The title
to the project facilities is to be vested in the National Aeronautics and Space
Administration.

(e)
"State" means the State of Mississippi.

(f)
"Authority" means the Mississippi Development Authority.

SECTION 36. (1) The authority may use
the proceeds from general obligation bonds issued under this act for the
project as it considers necessary to further the project.

(2)
The authority may enter into any agreements regarding the project as it
considers necessary and may require that the state be granted an equity
interest in the project as a condition upon the issuance of bonds under this
act.

SECTION 37. (1) (a) A special fund, to be designated as the
"Infinity Space, Science and Education Center Fund," is created
within the State Treasury. The fund
shall be maintained by the State Treasurer as a separate and special fund,
separate and apart from the General Fund of the state. Unexpended amounts remaining in the fund at
the end of a fiscal year shall not lapse into the State General Fund, and any
interest earned or investment earnings on amounts in the fund shall be
deposited into such fund.

(b)
Monies deposited into the fund shall be disbursed, in the discretion of
the authority, to pay the costs incurred for the construction, furnishing and
equipping the project.

(2)
Amounts deposited into such special fund shall be disbursed to pay the
costs of the project. If any monies in
the special fund are not used within four (4) years after the date the proceeds
of the bonds authorized under this act are deposited into such fund, then the
authority shall provide an accounting of such unused monies to the
commission. Promptly after the
commission has certified, by resolution duly adopted, that the project shall
have been completed, abandoned, or cannot be completed in a timely fashion, any
amounts remaining in such special fund shall be applied to pay debt service on
the bonds issued under this act, in accordance with the proceedings authorizing
the issuance of such bonds and as directed by the commission. Before monies in the special fund may be
used for the project, the authority shall require that the developer and
operator of the project enter into binding commitments regarding at least the
following:

(a)
That a certain minimum number of jobs will be created over a certain
period of time as determined by the authority (which jobs must be held by
persons eligible for employment in the United States under applicable state and
federal law); and

(b)
That if any such commitments are not satisfied, an amount equal to all
or a portion of the funds provided by the state under this act as determined by
the authority shall be repaid.

SECTION 38. (1) The commission, at
one time, or from time to time, may declare by resolution the necessity for
issuance of general obligation bonds of the State of Mississippi to provide
funds for all costs incurred or to be incurred for the purposes described in
Section 37 of this act. No bonds shall
be issued under this act until the authority is provided proof that the funds
from private, local or federal sources have been irrevocably dedicated and are
readily available to the project in the amount of not less than Twenty-eight
Million Dollars ($28,000,000.00). Upon
the adoption of a resolution by the authority, declaring that funds have been
irrevocably dedicated and are readily available in the required amount and declaring
the necessity for the issuance of any part or all of the general obligation
bonds authorized by this section, the authority shall deliver a certified copy
of its resolution or resolutions to the commission. Upon receipt of such resolution, the commission, in its
discretion, may act as the issuing agent, prescribe the form of the bonds,
advertise for and accept bids, issue and sell the bonds so authorized to be
sold and do any and all other things necessary and advisable in connection with
the issuance and sale of such bonds.
The total amount of bonds issued under this act shall not exceed Sixteen
Million Dollars ($16,000,000.00); however, not more than Eight Million Dollars
($8,000,000.00) may be issued in any one (1) fiscal year. No bonds shall be issued under this act
after July 1, 2008.

(2)
Any investment earnings on amounts deposited into the special fund
created in Section 37 of this act shall be used to pay debt service on bonds
issued under this act, in accordance with the proceedings authorizing issuance
of such bonds.

SECTION 39. The principal of and interest on the bonds authorized under this
act shall be payable in the manner provided in this section. Such bonds shall bear such date or dates, be
in such denomination or denominations, bear interest at such rate or rates (not
to exceed the limits set forth in Section 75-17-101, Mississippi Code of 1972),
be payable at such place or places within or without the State of Mississippi,
shall mature absolutely at such time or times not to exceed twenty (20) years
from date of issue, be redeemable before maturity at such time or times and
upon such terms, with or without premium, shall bear such registration
privileges, and shall be substantially in such form, all as shall be determined
by resolution of the commission.

SECTION 40. The bonds authorized by this act shall be signed by the chairman
of the commission, or by his facsimile signature, and the official seal of the
commission shall be affixed thereto, attested by the secretary of the commission. The interest coupons, if any, to be attached
to such bonds may be executed by the facsimile signatures of such
officers. Whenever any such bonds shall
have been signed by the officials designated to sign the bonds who were in
office at the time of such signing but who may have ceased to be such officers
before the sale and delivery of such bonds, or who may not have been in office
on the date such bonds may bear, the signatures of such officers upon such
bonds and coupons shall nevertheless be valid and sufficient for all purposes
and have the same effect as if the person so officially signing such bonds had
remained in office until their delivery to the purchaser, or had been in office
on the date such bonds may bear.
However, notwithstanding anything herein to the contrary, such bonds may
be issued as provided in the Registered Bond Act of the State of Mississippi.

SECTION 41. All bonds and interest coupons issued under the provisions of
this act have all the qualities and incidents of negotiable instruments under
the provisions of the Uniform Commercial Code, and in exercising the powers
granted by this act, the commission shall not be required to and need not
comply with the provisions of the Uniform Commercial Code.

SECTION 42. The commission shall act as the issuing agent for the bonds
authorized under this act, prescribe the form of the bonds, advertise for and
accept bids, issue and sell the bonds so authorized to be sold, pay all fees
and costs incurred in such issuance and sale, and do any and all other things
necessary and advisable in connection with the issuance and sale of such
bonds. The commission is authorized and
empowered to pay the costs that are incident to the sale, issuance and delivery
of the bonds authorized under this act from the proceeds derived from the sale
of such bonds. The commission shall
sell such bonds on sealed bids at public sale, and for such price as it may
determine to be for the best interest of the State of Mississippi, but no such
sale shall be made at a price less than par plus accrued interest to the date
of delivery of the bonds to the purchaser.
All interest accruing on such bonds so issued shall be payable
semiannually or annually; however, the first interest payment may be for any
period of not more than one (1) year.

Notice of the sale of any such bonds shall
be published at least one (1) time, not less than ten (10) days before the date
of sale, and shall be so published in one or more newspapers published or
having a general circulation in the City of Jackson, Mississippi, and in one or
more other newspapers or financial journals with a national circulation, to be
selected by the commission.

The commission, when issuing any bonds
under the authority of this act, may provide that bonds, at the option of the
State of Mississippi, may be called in for payment and redemption at the call
price named therein and accrued interest on such date or dates named therein.

SECTION 43. The bonds issued under the provisions of this act are general
obligations of the State of Mississippi, and for the payment thereof the full
faith and credit of the State of Mississippi is irrevocably pledged. If the funds appropriated by the Legislature
for such purposes are insufficient to pay the principal of and the interest on
such bonds as they become due, then the deficiency shall be paid by the State
Treasurer from any funds in the State Treasury not otherwise appropriated. All such bonds shall contain recitals on
their faces substantially covering the provisions of this section.

SECTION 44. Upon the issuance and sale of bonds under the provisions of this
act, the commission shall transfer the proceeds of any such sale or sales to
the special fund created in Section 37 of this act. The proceeds of such bonds shall be disbursed solely upon the
order of the authority under such restrictions, if any, as may be contained in
the resolution providing for the issuance of the bonds.

SECTION 45. The bonds authorized under this act may be issued without any
other proceedings or the happening of any other conditions or things other than
those proceedings, conditions and things which are specified or required by
this act. Any resolution providing for
the issuance of bonds under the provisions of this act shall become effective
immediately upon its adoption by the commission, and any such resolution may be
adopted at any regular or special meeting of the commission by a majority of
its members.

SECTION 46. The bonds authorized under the authority of this act may be
validated in the Chancery Court of the First Judicial District of Hinds County,
Mississippi, in the manner and with the force and effect provided by Chapter
13, Title 31, Mississippi Code of 1972, for the validation of county,
municipal, school district and other bonds.
The notice to taxpayers required by such statutes shall be published in
a newspaper published or having a general circulation in the City of Jackson,
Mississippi.

SECTION 47. Any holder of bonds issued under the provisions of this act or of
any of the interest coupons pertaining thereto may, either at law or in equity,
by suit, action, mandamus or other proceeding, protect and enforce any and all
rights granted under this act, or under such resolution, and may enforce and
compel performance of all duties required by this act to be performed, in order
to provide for the payment of bonds and interest thereon.

SECTION 48. All bonds issued under the provisions of this act shall be legal
investments for trustees and other fiduciaries, and for savings banks, trust
companies and insurance companies organized under the laws of the State of
Mississippi, and such bonds shall be legal securities which may be deposited
with and shall be received by all public officers and bodies of this state and
all municipalities and political subdivisions for the purpose of securing the
deposit of public funds.

SECTION 49. Bonds issued under the provisions of this act and income
therefrom shall be exempt from all taxation in the State of Mississippi.

SECTION 50. The proceeds of the bonds issued under this act shall be used
solely for the purposes provided in this act, including the costs incident to
the issuance and sale of such bonds.

SECTION 51. The State Treasurer is authorized, without further process of
law, to certify to the Department of Finance and Administration the necessity
for warrants, and the Department of Finance and Administration is authorized
and directed to issue such warrants, in such amounts as may be necessary to pay
when due the principal of, premium, if any, and interest on, or the accreted
value of, all bonds issued under this act; and the State Treasurer shall
forward the necessary amount to the designated place or places of payment of
such bonds in ample time to discharge such bonds, or the interest thereon, on
the due dates thereof.

SECTION 52. This act shall be deemed to
be full and complete authority for the exercise of the powers herein granted,
but this act shall not be deemed to repeal or to be in derogation of any
existing law of this state.

SECTION
53. This act shall take effect and
be in force from and after its passage.